The scandal shaking Sydney’s healthcare system—how a doctor lost it all

Trust in the healthcare system is built on professionalism, ethics, and accountability.

But what happens when a respected figure in the medical community is accused of breaching that trust?

A long-serving Sydney doctor, once known for his contributions to healthcare, now finds himself at the centre of a scandal that has shaken the industry.


A well-regarded Sydney doctor who built a network of medical centres saw his career unravel after being found guilty of defrauding Medicare of $400,000.

Dr Chin Ven Tan, the founder and director of Tasly Healthpac International Australia, falsified over 4,000 patient records between 2020 and 2021 in what was described as a ‘calculated, extensive and continuous’ scheme to exploit the system.

The NSW Civil and Administrative Tribunal found him guilty of unsatisfactory professional conduct and professional misconduct in December, leading to his medical registration being cancelled.


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Sydney doctor banned over massive Medicare fraud. Image source: The Sydney Morning Herald


Tan, who had been practising since 1983, founded Healthpac in 1995 and went on to establish multiple clinics across Sydney, including in Hurstville, Chatswood, the CBD, and Campsie.

Despite warnings from authorities, he continued to bill Medicare for services he claimed to have provided at his MediCentral CBD clinic, where he worked from 2017.

Under Medicare regulations, doctors were required to keep contemporaneous records for at least two years when claiming certain services, but an investigation found he had failed to do so.

His lack of record-keeping was first flagged in 2018 when a patient reported him to health authorities, prompting a warning.


The matter was escalated to the Professional Services Review (PSR), which oversees Medicare compliance, leading to an investigation that uncovered significant discrepancies in his claims.

Tan attempted to cover his tracks by altering records, deleting item numbers, adding backdated referral letters, and inserting notes about patient consent.

Authorities detected inconsistencies using custom software, revealing that he had billed at a higher rate for two specific Medicare items than 99 per cent of general practitioners in 2019 to 2020.

When confronted by the PSR in December 2021, he refused to answer questions about the irregularities but repaid $6,850 two days later for an incorrectly claimed item.

By 2022, he had signed an agreement admitting to inappropriate Medicare billing practices and was ordered to repay $400,000.


The Health Care Complaints Commission pursued legal action in December, arguing for his medical registration to be revoked.

The tribunal ruled that Tan’s misconduct was on an ‘industrial scale’ and that he had continued submitting fraudulent claims despite receiving multiple warnings.

‘The Practitioner’s conduct was motivated by self-interest. When amending his notes, the Practitioner wanted to protect his reputation, escape punishment, avoid a black stain on his reputation and thought that if he produced a better (albeit false) record, he might not be punished,’ the verdict stated.

‘The Practitioner placed his personal interests above the interests of his patient’s interest to have accurate records which reflect what actually occurred during their consultations to ensure safe continuity of care.’

‘(His) conduct was extensive and perpetrated continuously over more than a 12-month period. He was given multiple warnings and failed to heed any of them.’

‘Patients rely on medical practitioners creating accurate contemporaneous medical records. Patients expect that medical practitioners will record what actually happened during their consultations. Inaccurate/incomplete medical records may jeopardise safe continuity of care.’


Although Tan had already retired, the tribunal ruled that his registration should be cancelled with a three-year non-review period to ensure his ‘serious professional misconduct’ was ‘denounced’.

He was also ordered to pay the Health Care Complaints Commission’s legal costs.

In a previous story, another case of misconduct in the healthcare sector left families stunned.

An aged care worker’s shocking crime raised serious concerns about trust and accountability in the industry.

Read more about the troubling incident and its impact on those affected.

Key Takeaways
  • Sydney doctor Dr Chin Ven Tan was found guilty of defrauding Medicare of $400,000 by falsifying over 4,000 patient records, leading to the cancellation of his medical registration.
  • Despite warnings, Tan continued billing Medicare without proper records. His misconduct was first flagged in 2018 after a patient complaint.
  • An investigation revealed he billed at unusually high rates and altered records to cover his tracks.
  • Though retired, his registration was cancelled for three years, and he was ordered to pay legal costs.

Medical professionals are held to high ethical standards, but cases like this raise serious concerns about accountability in the industry.

Do you think penalties for Medicare fraud should be harsher? Let us know your thoughts in the comments.
 

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